BBC Report: How to Get More Women in Tech?

BBC Report: How to Get More Women in Tech?

By Alison van Diggelen, host of Fresh Dialogues

Why aren’t more women in tech? That was the main topic for discussion yesterday on BBC’s Business Matters. I shared my report from Google’s I/O conference, where almost one in four attendees were women. The Women Techmakers team managed to increase female attendance from 8% in 2013 to 23% this year. How did they do it and what can other companies learn from their strategy?

Listen to the podcast at the BBC World Service (Women discussion starts at 26:40) or use the clip below:

Here’s a transcript of our conversation, edited for length and clarity.

BBC Host, Roger Hearing: Have you thought how many women there are in the new high tech industries? Not enough is the general verdict. Have a quick listen to this:

Google CEO, Sundar Pichai: Welcome to Google I/O and welcome to Shoreline. It feels really nice and different up here. We’ve been doing it for many many years in Moscone and in fact we’ve been doing I/O for 10 years, but I feel we’re at a pivotal moment in terms of where we’re going as a company…. There are over 7,000 of you joining in person today.

BBC Host, Roger Hearing: That was the boss of Google, Sundar Pichai, opening a recent conference held near the tech giant’s headquarters in Mountain View, Silicon Valley. Alison, you were at that conference. Tell us more about it….

Alison van Diggelen: Google I/O is the annual Google developers’ conference. I/O stands for Input/Output and Innovation in the Open. It attracts thousands of developers from around the world who use Google’s open platforms, such as Android and Chrome, to build apps for your smartphone, smartwatch, or computer.

Google has been battling to increase the number of women in its tech teams, and I was pleased to see a decent number of women making presentations on the keynote stage. The company managed to triple the number of women attending the conference by partnering with other tech organizations like the Anita Borg Institute, Women Who Code and Hackbright academy.

At the conference, I spoke to Natalie Villalobos. She’s Google’s Head of Global Programs for “Women Techmakers.” I began by asking her WHY Google is seeking more women in tech…

Natalie Villalobos: We need everyone to contribute to make the most innovative technology. The more diverse voices we have, contributing, participating, and building the technology, the better technology we’re going to have…We always need more diverse voices at the table: for women, people of color, veterans, people with disabilities because the people building the tech should be as diverse as the people that the technology serves.

Alison van Diggelen: You went from 8% female attendance in 2013 to 23% this year, almost a quarter today. How did you do that?

Natalie Villalobos: ‘What could only Google do?‘ is a big rallying cry of my work and it was partnering with community organizations, locally, nationally and internationally to bring women to the conference, by providing travel grants, access to tickets and so we wanted to create these lasting partnerships…And one of the things we worked really hard at is how can we really engage women across the spectrum? We welcome all types of women: whether you identify as non-gender binary, women of color, Latinas…Also geographic diversity: We have women from South Africa, Taiwan, Tunisia, China…a lot are coming here to the U.S. for the first time for Google I/O.

Winnie Chen, Nancy Hang, Android auto team at Google IO 2016, Photo by Alison van DiggelenAlison van Diggelen: What makes you special, is it just deep pockets? (Google has earmarked $150M this year for its diversity programs)

Natalie Villalobos: We’re really looking at how we can engage and meet developers, designers and entrepreneurs wherever they are. Diversity and inclusion in the tech industry is not just in the United States. There are people all over the world who want to be here in this industry who can’t move to Silicon Valley. How can we meet them where they are and share our new platforms, our technologies?

People who can’t come to Mountain View can join a local extendedI/O event – I believe we have over 400. Our biggest this year is in Sri Lanka with over 2000 attendees. It’s about reshaping the industry and supporting people where they are.

Roger Hearing: Alison, we’ve heard this a lot before…there aren’t enough women involved in the high tech industry. But it doesn’t seem to get any better.

Alison van Diggelen: It seems to be moving in the right direction but it’s very slow going. I actually had the chance to speak with Sundar Pichai and he said that this is a long long road. He’s talking about 10 years, 15 years before they can get close to equality. It’s a pipeline issue, it’s a role model issue. There are inherent biases in companies that make it more difficult for women to get into tech companies and thrive in tech companies. He did point out an encouraging fact that at Stanford University in Silicon Valley, the most popular major is no longer Biology but Computer Science.  So anecdotal evidence like that says that perhaps we’re reaching a critical mass, perhaps a turning point, where women can feel at home in that geeky, computer science world.

Roger Hearing: Let me posit that maybe that’s because it’s Stanford…it’s California. Simon, let me come to you (in Singapore) In the high tech world where you are….where some of the most cutting edge stuff is going on. Are there many women involved?

Simon Long, The Economist: I’m struck when I visit multinationals (in Singapore) like Google and local startups how dominated they are by the young…and men. Alison put her finger on one of the main problems: who’s studying what at university? Who has the right skills? There are these ingrained prejudices…people recruit people like themselves.

Ellie Powers, Google interview by Alison van Diggelen for BBC Report May 2016Alison van Diggelen: The pipeline issue is not the whole excuse.  I did speak with Ellie Powers, a product manager at Google and she was on the keynote stage. It’s a lazy excuse, she says, “if you’re looking for gold, it’s rarer, you have to look a bit harder” and you have to figure out how find and connect with people outside your network. She put a challenge out there to Google and beyond for any company looking for women, in order to make a better team.

Roger Hearing: Perhaps the women are not there, they don’t want to do it? Is it a cultural bias?

Alison van Diggelen: I think there is a bias…there’s the stereotype of the geeky coder, but I think that’s changing. After being at that conference for an entire day, and seeing that one in four of the attendees were women. It was different from other tech conferences I’ve been at where if feels more like 10%.

Unconscious bias training will help. I think role models like Ellie Powers, up there on stage, wearing a dress, talking tech, being geeky…that will help get more young women to say, maybe coding is for me, maybe computer science is for me?

Roger Hearing: Simon, does it matter what the gender balance is?

Simon Long: I think it probably does…if everyone had equal access to do what they’re good at, the world would be a better place. As Alison says, if the problem is not just a pipeline one… If there are biases inhibiting women from doing as well as they might, then we’re all losing out.

Roger Hearing: If women were involved in designing the Apple Mac, would it be different, better?

Alison van Diggelen: Natalie’s point is relevant here: if your end product is for the world – 50% of which is women – you have to include women in the process. By attracting a more diverse employees base, you’ll get a better workforce. I talked with Steven Levy, a well-known tech author and he said, the days when a credible company can have an all-male conference or panel are just “way over” – it’s about sending a message to all people that they’re welcome. It’s about getting a better workforce and building better products. That’s the bottom line.

Read more about women in tech in Fresh Dialogues Inspiring Women Series

And find out more about The Anita Borg Institute

BBC Pick of the Week: Interview with Bertrand Piccard, Solar Impulse

BBC Pick of the Week: Interview with Bertrand Piccard, Solar Impulse

By Alison van Diggelen, host of Fresh Dialogues

This week, I was delighted to discover that my interview with Solar Impulse pilot and clean technology enthusiast, Bertrand Piccard was featured on BBC Radio 4’s program, “Pick of the Week.” The program is described as “a selection of highlights from the past week on BBC radio” and it certainly makes compelling listening. BBC Presenter Caz Graham‘s picks are an eclectic mix of audio-rich stories: everything from Chairman Mao to Bob Dylan; and swimming in the Thames to soaring in solar flight. You can listen to the full 45-minute podcast here. The Solar Impulse segment starts at 22:20 but if you start listening at 20:10, you’ll get a fuller context, as Graham links the clean technology mission to the ideals of the influential economist, E.F Schumacher.

Listen to the Solar Impulse Segment here: (Schumacher starts at 0:07 and Solar Impulse at 1:45)

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Here’s a transcript of the segment (edited for length and clarity):

BBC Presenter: Now on Radio 4, with the best of the BBC Radio this week, here’s Caz Graham…

Caz Graham:Small is beautiful” challenged the idea of economies based on mass production. According to Schumacher, big isn’t always better….Leo Johnson tried to find out what Schumacher stands for and whether his ideas might be about to take off. He enlisted the help of Satish Kumar, founder of the Schumacher College.

Satish Kumar: We have been given these beautiful hands…they are like a miracle. What can we do with these hands? The word ‘poet’ means ‘to make’….’poiesis.’ In Schumacher’s view, we are all poets. If we make something with creativity and imagination, a garden can be poetry, dinner can be a work of poetry…Work is a source of pleasure and joy. Our philosophy of consumerism, of materialism, of disconnection, that humans are separate from nature…is the biggest problem…Financial wealth is only a means to an end. Real wealth is community, people, their skills, their talent, their imagination, their creativity…Real wealth is nature.

Caz Graham, BBC Presenter for Radio 4's Pick of the WeekCaz Graham:  It all sounds marvelous in theory, but what about in practice? You need people to channel that imagination and creativity to deliver and develop the kind of world that Shumacher was aspiring to. Maybe people like Bertrand Piccard and Andre Borschberg? They have a unique plane. It’s called the Solar Impulse. It has a wing span of 230 feet and it’s powered entirely by solar panels attached to those wings. They want to prove that this kind of clean technology really can work and could help solve our energy problems, so they’re currently flying it right around the world.

Alison van Diggelen caught up with them for the World Service’s Business Matters, during a recent stop over in Silicon Valley. This is Bertrand Piccard

Bertrand Piccard: You know, I never have enough of flying that plane or seeing it flying…when you see those four electrical motors that put the plane in the sky with no noise, no pollution, it’s like a jump into the future. Thanks to new technologies, the future is already today.

Alison van Diggelen: What for you is the biggest game changer?

Bertrand Piccard: The world cannot continue on combustion engines, badly insulated houses, incandescent light bulbs, outdated systems to distribute the energy…this is last century. It’s not only about protecting the environment, it’s a lot about making money, new industrial markets, economic development, profit, job creation. These clean technologies can be used for electrical mobility, LED lights, smartgrids. …. Maybe Solar Impulse is a way to try to overcome the resistance of the dinosaurs who have not yet understood where the future is.

Alison van Diggelen: You’re an entrepreneur, as is Andre (Borschberg). What do you say to these naysayers?

Bertrand Piccard: I tell them: be really careful because innovation does not come from inside the system. It’s not the people selling the candles who invented the lightbulb. What you’re doing now will be replaced. If you want to innovate be a pioneer…change your way of thinking. Dinosaurs disappeared, they were the strongest one, but the less flexible one to adaptation.

Caz Graham: Bertrand Piccard, speaking on the World Service.

 

Check out more Pick of the Week programs at BBC Radio 4

Find out more about the Solar Impulse team at Fresh Dialogues – Is this a Kitty Hawk moment for Clean Technologies?

Follow the Solar Impulse journey around the world

BBC Report: Solar Impulse Flight, A Kitty Hawk Moment For Clean Tech?

BBC Report: Solar Impulse Flight, A Kitty Hawk Moment For Clean Tech?

By Alison van Diggelen, host of Fresh Dialogues

On Thursday, May 12th at 3 am PST, the Solar Impulse plane leaves Phoenix, Arizona on the 11th leg of its journey, bound for Tulsa, Oklahoma. Solar Impulse is attempting to fly around the world, powered only by solar energy. It’s now completed over two-third of the epic journey. As well as breaking records for solar flight, this odyssey shines a spotlight on the many business opportunities that clean technologies offer.

Last month, Solar Impulse flew from Hawaii and arrived here in Silicon Valley. I interviewed both pilots at Moffett Field for a BBC World Service Report. Known as “ambassadors for a clean future,” they shared their vision for a cleaner, more efficient future:

I never have enough of flying that plane…when you see those four electrical motors that put the plane in the sky with no noise, no pollution, it’s like a jump into the future. The world cannot continue on combustion engines, badly insulated houses, incandescent light bulbs, outdated systems to distribute the energy…this is last Century. You don’t have to be ecological anymore, just logical!” Bertrand Piccard

Bertrand Piccard interview w Alison van Diggelen for BBC May 2 2016Piccard is Co-Pilot, Explorer and Solar Impulse Chairman. He’s also a psychiatrist, and a United Nations Environmental Program Goodwill Ambassador.

“We had to build an aircraft that was extremely energy efficient. It’s all about energy efficiency. This efficiency is extremely important on the ground as well. If we would use the technologies now on board this airplane, we could reduce our energy consumptions by at least 50%.” Andre Borschberg

Andre Borschberg & Alison van Diggelen Hangar One Moffett Field for BBC, Photo by Fresh DialoguesAndre Borchberg is Co-Pilot, MIT Engineer and Solar Impulse CEO

On May 10th, my report aired on the BBC World Service program, Business Matters and I was invited to share some more juicy details on the live show. My report was selected as a special Audio Clip: Listen here

Listen to the BBC podcast of the report and discussion here (May 9th podcast titled “Duterte Claims Victory” @26:50).

Here’s a transcript of the discussion (edited for length and clarity):

BBC Host, Fergus Nicoll:  After an unexpected nine-month delay, a solar-powered aircraft aiming to complete a round-the-world voyage is back in business. Check out their website … it’s got a snappy update for you on the front page – “We are in Phoenix!” Alison has prepared a report for us – talking to the two pilots who’ve been steering this epic journey so far.  – so Alison before we play in the piece, set the ground for us – where did you meet the team – what have they achieved so far – and why the big delay?

Alison van Diggelen: It’s a very interesting story, especially if you cover clean tech. Last Monday, I got up at 3 am to watch the Solar Impulse take off from Moffett Field here in SV, bound for Phoenix AZ. I talked with the two pilots who take turns on each flight. They’re attempting to fly around the world, powered entirely by solar energy. They left Abu Dhabi in March 2015, and are two-thirds of their way around.

Bertrand Piccard, one of the pilots told me: you don’t change the world with just an idealistic approach, you change the world if you have practical & profitable solutions. So they’re really pushing this clean energy, energy consumption message. They say we could reduce our energy consumption here by over 50% if we used the clean energy and energy efficiency techniques on that airplane.  One of biggest potential business opportunities is solar powered airplanes replacing satellites in the sky

BBC Report: Solar Impulse Plane Brings Clean Tech Message Around World 

By Alison van Diggelen

Ambi on runway at Moffett Field, Silicon Valley

Elke Neumann : Clearance from the tower

Alison van Diggelen: The propellers are starting very slowly, but they’re about to take off…you can hear the propellers….It’s in the air…

Elke Neumann: It’s in the air. Woo hooo hooo!

Alison van Diggelen: All we can see is a line of lights in the sky and it looks like it’s barely moving, just floating there, about 1000 feet off the runway.

Last week, the Solar Impulse plane took off from Moffett Field in SV. Its mission is to fly around the world, powered only by solar energy. It’s now completed about 2/3rds of that journey, flying from Abu Dhabi across Asia to Hawaii last year. The team plans to reach NY by June and cross the Atlantic this summer.

The plane has the weight of a family car, but the wingspan of a 747, covered with 17,000 solar panels. I talked with Bertrand Piccard, a Swiss explorer and one of the two pilots who’s taking turns in the cockpit.

Bertrand Piccard: I never have enough of flying that plane…when you see those 4 electrical motors that put the plane in the sky with no noise, no pollution, it’s like a jump into the future. Thanks to new technologies, the future is already today.

Alison van Diggelen: What for you is the biggest game changer?

Bertrand Piccard: The world cannot continue on combustion engines, badly insulated houses, incandescent light bulbs, outdated systems to distribute the energy…this is last Century. It’s not only about protecting the environment, it’s a lot about making money, new industrial markets, economic development, profit, job creation. These clean techs can be used for electrical mobility, LED lights, smartgrids. It’s a complete demonstration of everything we need in our society…. Maybe Solar Impulse is a way to try to overcome the resistance of the dinosaurs who have not yet understood where the future is.

Bertrand Piccard: What do you say to these naysayers?

Bertrand Piccard: I tell them: be really careful because innovation does not come from inside the system. It’s not the people selling the candles who invented the lightbulb. What you’re doing now will be replaced. If you want to innovate be a pioneer… change your way of thinking. Dinosaurs disappear, they were the strongest one, but the less flexible one to adaptation.

Alison van Diggelen: Andre Borschberg, piloted the Japan to Hawaii flight, an epic 5 day, 5 night journey. He explains that Solar Impulse is like a “laboratory in the sky” and is excited about its multiple tech spinoffs.

Paige Kassalen interview w Alison van Diggelen for BBC Solar Impulse

Paige Kassalen is part of the Solar Impulse ground crew and works for Covestro, one of the clean tech companies developing lightweight, high efficiency solutions for the “flying laboratory.”

Borschberg: What we have today is an airplane which can fly day and night, a week, a month, non stop …It’s totally sustainable in terms of energy, the limiting factor is the pilot… If we make it unmanned, an airplane can fly in stratosphere (above the bad weather) for 6 months, potentially replacing what satellites are doing, but cheaper in a flexible way…no pollution of space.

Alison van Diggelen: What made the journey even possible?

Andre Borschberg: We had to build an aircraft that was extremely energy efficient. This efficiency is extremely important on the ground as well. If we would use the technologies now on board this airplane, we could reduce our energy use by at least 50%. As it continues on its journey, the Solar Impulse team is striving to change the world, not just of aviation but of energy and communications too. You could call it a Kitty Hawk moment for the 21st Century.

Fergus Nicoll: I want to pick up on one or two of these ideas, the spinoff tech…start off with this amazing idea: the solar drones, solar powered unmanned vehicles in the stratosphere, a kind of neo-satellite…

Alison van Diggelen: That’s right. It was amazing to re-think satellites. Satellites cost up to $100M to produce, and then to launch them, it’s another $50M. So if you could do the same with a solar powered airplane, then there are huge cost savings available. Not only cost, but flexibility. These satellites go up for 7, maybe 15 years maximum, but two years into their journeys, the technology is old, whereas these solar powered airplanes could come down after six months and get repaired if necessary and get the latest technology fitted to them. So there’s all sorts of applications like GPS navigation, communications…observations: deforestation,  climate change monitoring. They’ll probably have to make these solar airplanes even bigger to carry the massive payload.

Fergus Nicoll: Are other companies in Silicon Valley and elsewhere watching this…to see what they can spinoff themselves?

Alison van Diggelen: Yes, in fact the solar panels – the 17,000 panels – on the planes wings are made by a Silicon Valley company, and I know of at least one other Silicon Valley solar company that would rather be on the wings. So I think this whole project is a catalyst for companies to say: hey, we want to be the No. 1, the most lightweight, the most efficient solar panel. The “flying laboratory” is stimulating other companies because it’s shining a spotlight on these clean technologies.

Find out about more cutting edge technologies: Hyperloop seeking a Kitty Hawk Moment

More BBC Reports and BBC Dialogues on Tesla, Women in Tech, The US Election and much more…

BBC Report: How Can Tesla Deliver 400,000 Model 3s by 2018? Hubris vs Caution

BBC Report: How Can Tesla Deliver 400,000 Model 3s by 2018? Hubris vs Caution

By Alison van Diggelen, host of Fresh Dialogues

This week, I listened live to Tesla’s latest earnings call and was gobsmacked at Elon Musk’s audacious new goal to build half a million cars per year by 2018.

“This is based off the tremendous demand received for the Model 3, which I think is actually a fraction of the ultimate demand, when people fully understand what the car’s capable of….Tesla is going to be hell-bent on becoming the best manufacturer on earth.” Elon Musk

But how on earth is Tesla going to perform this ambitious ramp up in production? It’s a 1000% increase in Tesla’s 2015 production level (approx. 50,000 Model S and Xs). Here’s one more clue from Elon Musk, at the end of the conference call:

“We believe that there’s more potential for innovation in manufacturing, than there is in the design of the car by a long shot.” Elon Musk

Tesla’s Alexis Georgeson took me inside the Tesla factory last week to share some insights as to how this “mission impossible” just might be done.

My report aired today on the BBC World Service program, Tech Tent. You can listen to the podcast at the BBC here (Podcast: Seeking Satoshi, May 6th, @9:00) or below:

Here’s a transcript of my report on Tech Tent:

BBC Host, Rory Cellan-Jones: This week, the entrepreneur behind the Tesla cars made an extraordinary promise to his investors. He said his company would manufacture half a million cars a year by 2018. Given the fact that Tesla has missed much smaller production targets in the past this seemed, well, brave. But as Alison van Diggelen reports from Silicon Valley, Elon Musk is confident that this time, things will be different.

Alison van Diggelen: Tesla Motors astounded the auto industry last month when it received over 400,000 reservations (325,000 in the first week) for its new Model 3, an “affordable” all-electric car. In response, CEO Elon Musk just announced a production goal of half a million cars by 2018.

Elon Musk: My desk is at the end of the production line…I have a sleeping bag in the conference room… which I use quite frequently. The whole team is super focused on achieving rate and quality at the target cost, so I feel very confident in us achieving that goal.

Alison van Diggelen: I visited the Tesla factory in Silicon Valley to find out how they can deliver on time and in such huge numbers. Though beloved by fans, Tesla is also notorious for production delays.

Men & Women on Tesla production line, photo by FreshDialogues

Last year, the company spent over 1.5 Billion dollars in capital. Its cash burn-rate looks unsustainable. With General Motors coming out with a longer range electric car later this year and other competitors hot on their wheels, Tesla is under pressure to deliver, and fast.

Alexis Georgeson: There’s already been one major reorg since Model S production started in 2012. The original end of line used to be right here… we straightened out the line so we could expand and increase production.

Alison van Diggelen: That’s Alexis Georgeson, a Tesla spokesperson who explains in great detail the 7-day process that transforms a roll of aluminium into a shiny electric car. The two-week reorg and retooling in 2014 means that Tesla now has over 1000 state of the art robots, which helped ramp-up production by over 100% last year.

A separate production line for the Model 3 is planned and hard lessons from earlier models will help speed up their manufacture, especially more in-house capabilities and more thorough supplier validation. Musk says the new Model 3 will be designed to be easy to make.

Alexis Georgeson: We’re constantly learning and innovating. The great thing about Tesla is that so much is in-house and that we are so nimble.

Alison van Diggelen: I asked about the long delays in the Model X, largely caused by the flashy Falcon Wing doors.

What’s the trade off between hubris and caution at Tesla?

Alexis Georgeson: Our mission is not just to accelerate sustainable energy and transportation …You’re creating new features that haven’t been done before in the auto industry. With that comes natural growing pains…

Alison van Diggelen: So what about the cash flow issues?

Georgeson: The thing that’s missed there is the capital-intensive nature of the auto industry. Especially for a company like Tesla that’s ramping production so quickly…

Alison van Diggelen: Here’s Elon Musk…

Elon Musk: Tesla is hellbent on being the best in manufacturing… We believe that there is more potential for innovation in manufacturing than in design of the car, by a long shot.

Alison van Diggelen: Musk says the first Model 3 deliveries will start in late 2017. If he can prove naysayers wrong again, the majority of Model 3 reservation holders might see their cars coming off the production line in Silicon Valley within the next two years…

Read more Fresh Dialogues reports on Tesla here (scroll down for archives back to 2012)

BBC Dialogues: Is The Tesla Model 3 Launch an iPhone Moment for the Auto Industry?

BBC Dialogues: Is The Tesla Model 3 Launch an iPhone Moment for the Auto Industry?

By Alison van Diggelen, host of Fresh Dialogues

Last night, I joined the BBC’s Business Matters to discuss the launch of Tesla’s Model 3 and the remarkable 325,000 deposits it garnered in just seven days. Reports suggest that even Tesla CEO, Elon Musk was surprised by the number of people prepared to pay $1000 to get in line for this mass market electric car. It appears that his “Tesla secret masterplan” had been intentionally leaked. Does this mean that the Model 3 represents an iPhone moment for the auto industry?

I discussed all this with the BBC’s Roger Hearing and Madhavan Narayanan, columnist with the Hindustan Times in Delhi.

Here is a transcript of our conversation and a longer version of the report which aired on the BBC World Service. The transcript has been edited for length and clarity. Listen to the podcast here: Tesla discussion starts at 26:46

Roger Hearing: The Tesla 3…is that the way forward for electric cars? Now Alison, you’ve been having a look at the new Tesla…can you enlighten us on that?

Alison van Diggelen: Last Thursday, Tesla finally unveiled its “affordable” mass market car, the Model 3. Hours before it was actually unveiled, thousands of Tesla fans stood in line, sight unseen, to reserve one. This was a phenomenon, especially here in Silicon Valley where Tesla is headquartered and where they actually build the cars.  I talked with several people who waited in line, and one Tesla fan who drives a Tesla (Roadster) but is just not interested in the Model 3…The key question now is: can Tesla deliver?

[Report begins]

Last Thursday, Tesla fans came out in droves to reserve the long awaited Model 3, the $35,000 all-electric car.

Small business owner, Tom Poppitz was one of thousands in Silicon Valley, to line up at one of Tesla’s six showrooms here. Each customer was prepared to put down a $1000 deposit for a car they’d never seen.

Tom Poppitz Tesla Model 3 ReportPoppitz: There was a lot of very well educated people in that line…they were going to buy this thing, no matter what it looked like…they were excited about it changing the world, changing the auto industry…

He likened it to an Apple product release, only better because it was sight unseen. 

But what motivated Poppitz to get in line?

Poppitz: I’m not generally excited about cars…I’m a self-professed tightwad. The value proposition for this car is so completely different: frees you from buying gas… but my primary motivation: It changes macroeconomics in a major scale. Transitioning to electric cars can cure our trade deficits, it can have a quantum effect on our economy….

But not everyone is so optimistic that Tesla can actually deliver a world-changing product. I spoke with Anton Wahlman, a tech analyst.

He says Tesla’s two greatest challenges will be achieving profitability at $35,000 – where margins are razor thin – and beating some tough competition.

Wahlman: The unsexy factor in the whole equation…the product can be beautiful and all, but getting to an acceptable level of profitability is an extremely significant challenge.

He points to the brutal competition Tesla will face by the time it delivers its first Model 3’s in late 2017/and 2018. The Chevy Bolt hits showrooms later this year, and BMW, Audi, Jaguar, and others are in fast pursuit.

Walhman predicts that Tesla may face the same fate that Nissan did in 2010, when its all-electric Leaf started shipping …Many reservation holders demanded their deposits back.

Wahlman: (Nissan) They had zero competition… Tesla already has some competition …that will intensify greatly in ‘17 and by 2018, it’ll be in full bloom.

He acknowledges Tesla has a more attractive product than Nissan and its charging network is a moat-like barrier to competitors. But the Model 3 is not for every Tesla fan.

Silicon Valley techie, Carlos Morales drives a Roadster, Tesla’s limited edition sports car. He loves the quiet acceleration, and speed of his Roadster, but wasn’t prepared to reserve a Model 3. Why not?

Carlos Morales Tesla Model 3 ReportMorals: I see a Roadster once a month… 300,000 Model 3’s have been reserved. There’s going to be a lot of them, that’s wonderful for the planet and Tesla. But it’s not going to be as exclusive.

There’s always going to be a class, a group of people who are looking at that.

Despite questions of reliability and servicing challenges pouring cold water on last week’s euphoria, Tesla true believers feel they were part of automotive history. Will this be an iPhone moment for the auto industry? At least 270,000 people hope so.

[Report ends]

Alison van Diggelen: Carlos speaks for probably a small segment of people who won’t be attracted by the Model 3. But as of this morning they’ve now had over 325,000 willing to put down a $1000 deposit…that level of interest is unprecedented in the auto industry. A lot of people are drawing analogies with the iPhone. There’s a euphoria about this new product…the difference is: people are going to have to wait about two years before the car is actually delivered.

Roger Hearing: That’s a very long time, isn’t it? Isn’t that a lack of attraction in itself?

Alison van Diggelen: The analyst, Anton Wahlman emphasized that it’s not that these hardcore fans aren’t prepared to wait…but in the two year period, they may be tempted off their deposits. Wahlman pointed out all the competition. Jaguar is even coming out with an electric vehicle, Audi…the Chevy Bolt will actually be in dealerships this Christmas. I did speak with one big Tesla fan – Washington Post columnist, Vivek Wadhwa – and asked him if he’d be tempted by the Bolt. He said it was like comparing a rotary phone with the iPhone. That’s the level of fanboy-ism there is in Silicon Valley.

Tesla Design Studio Palo Alto, by Alison van DiggelenMadhavan Narayanan: We’re not discussing cars anymore.  We’re discussing new patented technologies. If Tesla has patented technology that makes it distinguishable and superior to other electric cars, we’re talking about a paradigm shift, not simply a better car.

Roger Hearing: The big thing here in Britain is where you can actually get the charge? It’s fine in big urban areas… and for short journeys. Would that be true in America where there are a lot of very long journeys and presumably not a lot of electrical stopping places along the way?

Alison van Diggelen: Yes, that is a big issue. Anton Wahlman pointed out that Tesla has this (proprietary) network for these long distance drives. They have hundreds of superchargers, (fast chargers) all over the U.S. They’ve introduced them in Europe too for people doing long journeys in their Tesla Model S. Wahlman described this like as a moat around Tesla’s business model and no other electric vehicle has something similar. So that could actually be an advantage (for Tesla). These other companies will have to catch up. With mass market, compared to a luxury car, there is a point: most luxury car buyers own homes and they can charge at home.  If you’re living in an apartment, then that’s a whole different thing. That’s definitely a challenge, but Elon Musk is quite the visionary and he is aware of this and they are planning to double or triple their Tesla charging network.

Roger Hearing: That must be a problem in India, Madhavan, where do you charge these electric cars?

Madhavan Narayanan: Let’s look at what happened with cellphones. The paradigm of Tesla is strikingly similar. You have cell towers everywhere and they carry the signals. Why not set up a charging station network? To use Silicon Valley’s favorite expression: I see an electric vehicle ecosystem emerging. There will be new winners and losers in the game.

Roger Hearing: An electric car ecosystem? That’s a concept to carry around, as we go into what does seem to be the electric car era.

Read lots more about Tesla’s remarkable journey here

Watch my in-depth interview with Elon Musk – on Tesla, SpaceX and his desire to die on Mars.

Photo credit: Top photo of lines at Tesla showroom in Palo Alto by Michael Berlin, who is featured in the photo below:

Michael Berlin waits for the Tesla Model 3. Photo by Michael Berlin

BBC Dialogues: Influential Mexican Americans Respond to Donald Trump Vitriol

BBC Dialogues: Influential Mexican Americans Respond to Donald Trump Vitriol

By Alison van Diggelen, host of Fresh Dialogues

As any loyal Fresh Dialogues follower knows, we seldom cover politics, but given Donald Trump’s seemingly unstoppable rise in popularity, he can no longer be ignored. Trump’s racist rhetoric against Mexican immigrants compelled me to explore the reaction of the Mexican American community here in Silicon Valley. One of the leading Mexican Americans in tech, Diana Alberran Chicas, put aside her frustration and issued this invitation to Donald Trump:

“Come out to Silicon Valley and meet with a lot of these prominent Mexican Americans that are actually pushing for innovation in Silicon Valley,” Diana Alberran Chicas

My report aired March 1st on the BBC World Service. Here’s an edited transcript of the Business Matters program. Listen to the podcast at the BBC here (starts @27:30) or hear the report and highlights below:

BBC Host Jon Bithrey: One of the most important dates in the race to become the U.S. President is upon us. On Tuesday, Americans in a dozen states go to the polls…Now Alison, you’re in California. Talk to us about how Donald Trump is viewed there.

Alison van Diggelen: He’s burned some bridges, let’s say. Immigration has become a scalding hot issue in the United States and in California. Mexican immigrants are getting the brunt of the vitriol, despite that fact that there’s been a net migration of Mexicans out of the US since 2009. My report begins with Donald Trump speaking at a rally last year.

Donald Trump: “When Mexico sends its people…they’re not sending their best… they’re bringing drugs, they’re bringing crime…they’re rapists and some I assume are good people…”

Let’s meet some Mexican immigrants in Silicon Valley.

Victor Arellana AB Landscaping, by Alison van DiggelenVictor Arellano is in the gardening business. But not what you might think. He runs a thriving landscape gardening business that employs about 20 people and he’s building his dream house on 7 acres in Silicon Valley. Arellano would like to see Trump apologize…

Victor:to all the Mexicans he has offended…98% of the Mexicans that come over here…they only want to work and try to make a living. Sometimes it really makes you upset. 

They come and they do the most hardest work.

I put ads in the paper…it’s just Mexicans who apply for the job. I’ve never had an American who says: hey, I wanna start working as a laborer.

Arellano was a math teacher in Guadalajara and now serves a demanding clientele, many of whom work for Silicon Valley tech companies.

Victor: There’s two kinds of Americans – the ones that see that this country was formed by immigrants and then everybody is doing their best to make the country better.

And there is people, they don’t want to work, and they blame that they are not having the best car or the best house to the immigrants. Most of the jobs that the immigrants do are jobs that Americans don’t wanna do.

Diana Albarran Chicas (top photo) is a director of in-orbit satellite testing at a major satellite manufacturer in Silicon Valley. Her MIT degree helps with that.

Diana: I’m very proud to say I’m Mexican American and both cultures have had a big impact on who I am and that I represent both countries very proudly.

How does Albarran Chicas respond to Trump’s anti-Mexican insults?

Diana: My invitation would be to come out to Silicon Valley and meet with a lot of these prominent Mexican Americans that are actually pushing for innovation in Silicon Valley…changing the ways companies here are functioning and working…He needs to be surrounded by people that are making a difference, that are influential.

Guillermo Galindo plays effigy by Alison van Diggelen SJMAMeet Guillermo Galindo, a composer and artist from Mexico City who moved here in 1992. This month, his exhibition “Border Cantos” (a collaboration with photographer Richard Misrach) begins a national tour at the San Jose Museum of Art, in the heart of Silicon Valley. It documents the human tragedy of the US-Mexico border.

[Atmos: Sounds of percussion, strings, Guillermo composition]

Alison: Is there something you’d like visitors to your exhibition to go home with…a thought, a feeling?

Guillermo: I’d like them to resonate with it…take that home and that is a seed that is going to grow with them…that improves the conditions of people crossing the border and the treatment that immigrants have in the US and all over the world.

It’s totally a global message. It extends in the macro and in the micro, no? There are borders between us as people and there are borders that extend through nations.

Alison: What would you like to happen to those borders between people and countries?

Guillermo: I would like to build bridges instead of borders.

[Atmos: Guillermo music]

 END

Find out more

The New Yorker: Is the Mexican Government Finally Fighting Back Against Donald Trump?

John Oliver responds to Donald Trump: “You are either a racist of you are pretending to be”